Pradhan Mantri Aawas Yojana Details, Documents, Scheme

We all know that in the current times, especially the tough situations there are multiple Yojanas which have come up to help the needy people indeed. One of the prominent Yojana’s which has come up is the Pradhan Mantri Aawas Yojana which helps in making of home loans for purchasing of new homes and resold of homes for construction.

What is the Pradhan Mantri Awas Yojana?

The PMAY is a Credit-Linked Subsidy Scheme (CLSS) on home loans that can be used to purchase a new or resold home as for construction or home extension. By 2022, the project seeks to create two crore residences for India’s urban and rural populations.

This is a program that promotes reasonable housing for low-income people and others who are economically disadvantaged. PMAY can be used in two separate sections:

• PMAY-U for urban residents and
• PMAY-G is a program for people living in rural areas.

PMAY-U contains subsidy programs for the economically disadvantaged (EWS), the Lower Income Group (LIG), and the Middle-Income Group (MIG) (MIG I and MIG II). This category is determined by the beneficiary’s income, financial situation, and housing needs.

Pradhan Mantri Awas Yojana’s components

 

The PMAY scheme is divided into four parts:

• In-Situ Slum redevelopment involves private sector participation, utilizing the land as a resource. This objective is to maximize the potential of land under slum regions and provide slum dwellers with official urban establishments.
• Credit Linked Subsidy – Under this program, the government would provide a 6.5 percent interest subsidy on home loans for the first 15 years of the loan, making housing more affordable. The interest subsidy’s Net Present Value (NPV) will be calculated using a 9% discount rate. The credit-linked subsidy system only applies to loans up to Rs 6 lakh, and any amount above does not qualify for a discount. The interest subsidy will be instantly credited to the recipients’ accounts, resulting in a lower Equated Monthly Installment (EMI) and a lower home loan amount.
• Affordable Housing in Partnership (AHP) – Housing for the economically disadvantaged will collaborate with the public and private sectors. States and Union Territories can plan affordable housing projects in collaboration with various organizations or collaboration with various sectors.

• Beneficiary-led house enhancement and building – This component will benefit beneficiaries who cannot take advantage of the above three components. This mission assists EWS families in building new homes or enhancing existing homes on their own to provide housing for the beneficiaries. Families would receive central support of Rs 1.50 lakh to improve or build new homes as part of this program. The residences built under the Pradhan Mantri Awas Yojana will be built using environmentally friendly technologies, with priority given to the elderly and crippled when allotting ground floors.

Conditions of eligibility to receive benefits from the scheme

The loan subsidy approach tries to assist those who are economically disadvantaged in purchasing a home. So, here are some eligibility requirements you must meet:

• Neither the applicant nor their family may own a pucca house in India. The applicant’s family consists of their husband, wife, unmarried daughter or unmarried son.
• This scheme is open to anyone with an annual household income of up to Rs. 18 lakh. At the time of application, the spouse’s annual salary might also be submitted.
• PMAY benefits are not accessible for homes that have already been constructed.
• Married applicants can only get a single housing loan subsidy if they own the residence as a single or joint owner.
• The applicants and their families must not have benefited from any other Indian government housing-related scheme.

Every candidate must meet the PMAY committee’s eligibility standards to receive a house or financial assistance from the government. Six distinct groupings of potential applicants have been formed.

 

PMAY scheme features

The following are the scheme’s primary benefits and features:

• A 6.50 percent annual subsidized interest rate if the beneficiary takes out a home loan for up to 20 years.
• MIG (Middle Income Group) receives a 3-4 percent interest subsidy on housing loans to purchase or construct a property, including repurchase.
• The scheme covers all urban areas, including statutory towns, with 500 Class I cities.
• Construction will be done with environmentally friendly and sustainable technologies.
• Preference for differently-abled and senior citizens on the ground floor

 

The Pradhan Mantri Awas Yojana: Housing for All Scheme has several advantages.

Its goal is to rehabilitate slums.

• The pm awas yojna scheme is a well-thought-out program that benefits both the country and the economy. The scheme’s principal goal is to eliminate slum housing and replace it with “pucca” or concrete residences, particularly in India’s major cities, contributing significantly to the country’s GDP. The government hopes that implementing this ‘in-situ’ slum rehabilitation project will encourage slum inhabitants to choose official urban settlements over slum dwellings and capitalize on land that is losing value owing to slum settlements.

It accommodates everyone.

• One of the most significant benefits of the PM Awas Yojana is that it intends to provide all people with permanent housing. The government hopes to build as many as two crore inexpensive one-bedroom homes under this scheme in several of India’s most populous cities. House construction has already commenced in Maharashtra, Tamil Nadu, and West Bengal, among other states. Through these houses, the Indian government wants to improve the general standard of living of the Indian population and eradicate poverty.

Homes are offered at interest rates that are subsidized.

• The credit-linked subsidy system is an essential advantage of the PMAY scheme. The government has added a credit-linked subsidy component to the PMAY plan to improve the flow of institutional credit. This allows the qualifying urban poor (EWS, LIG, MIG 1, and MIG 2) to obtain housing loans at significantly cheaper interest rates for acquisition or building. Borrowers who fall into this category may be eligible for a significant reduction in interest payments. Check out pradhan mantri awas yojana list for more details.

 

It ensures women’s financial security.

• Another significant benefit of PMAY is that it encourages women to apply for loans and purchase homes. According to the scheme condition, if a married man applies for a loan, he must register his wife as a co-applicant, even though she has no role in financing the home acquisition. This is done to protect women’s financial futures, mainly when they are older and widowed.

 

The advantages of environmentally friendly housing

• Developers and builders in charge of constructing residences under the Pradhan Mantri Awas Yojana Scheme have been told to adopt environmentally friendly building materials and technologies. The goal is to create minor damage to the environment as possible surrounding the construction site, particularly damage caused by air and sound pollution. Homes are constructed with long-lasting, high-quality materials to avoid the need for restoration for as long as feasible.

 

Application documents required

When it comes to the documentation aspect, then it becomes a little tedious. When applying for any Yojana including the Pradhan Mantri Awas Yojana, then documents do play a huge role.

A quick tip from our side will be to, read the about the following documents as mentioned, and accordingly try and collect them way in advance. If you do so, trust us, you would end up saving a huge chunk of your time, sorting out the documents.

Here are some of the documentations you’ll need to send with your application:

• A completed and signed application form
• Property documentation, such as a deed of sale or a sale agreement, an allotment letter, a society/NOC, builders, etc.
• Identification documents such as an Aadhar card, a driver’s license, a voter identification card, a PAN card, and so on.
• Proof of address, such as a passport, voter card, Aadhar card, lease agreement, or the most recent utility bill
• Proof of income
• For salaried personnel, a six-month pay stub, a six-month bank statement, the most recent form 16, and so on.
• Balance sheet, profit & loss account, IT returns, computation, etc., for self-employed.

The Pradhan Mantri Awas Yojana has played a critical role in ensuring that everyone has access to affordable housing. Aside from that, the project seeks to generate many jobs in the real estate market. RERA is part of the plan, which aims to create 6.07 million employments in the country.

 

How to Apply for a PMAY

When it comes to the application process of PMAY, then thanks to the government they have made the process very easy and hassle free. All what the interested individuals have to do is, just connect on the official website and that is about it, post that they are good to go.

New Applicants’ PMAY Application Process – Follow these steps properly, and then it will hardly take a few minutes and you will ace through it.

• Go to “http://pmaymis.gov.in/” to apply for PMAY online. – Official website of the PM Awas Yojana
• Under the “Citizen Assessment” menu, select “Benefit under other three components.”
• Type in your 12-digit Aadhaar number as well as your name as it appears on your Aadhaar card.
• After your Aadhaar number has been verified, you will be routed to the PMAY application website.
• Fill up the required information, such as your personal information, income, and bank account information.
• Select “I am aware of…” from the drop-down menu.
• Fill in the Captcha and hit the “Save” button.
• When you select “Save,” a system-generated application number will appear, which you can keep for future reference.
• Fill out the pradhanmantri aawas yojana application form and print it.
• Submit the form, along with the supporting documentation, to your local Common Service Centers (CSC) or financial institution/bank.

When you apply for the Pradhan Mantri Awas Yojana, you will be given an application reference number that you can use to see if your name is on the new pm awas yojana list for 2021-22. Individuals whose applications have been accepted are listed on this list.

Hence, we have tried to cover every possible information here in detail. All you have to do is, go through the above-mentioned blog in detail, and then you will be good to go to.

Every information right from what the scheme is about, to the perks of applying to the scheme, process of applying to the scheme, the timelines, deadlines, documents required everything has been mentioned in detail.